Senate Bill 14 was signed into law in June and goes into effect this fall. The bill opposes any efforts to validate transgender identities.
The lawsuit alleges the ban violates the Texas Constitution by allowing discrimination against a particular group based on sex and transgender identity.
But it's not just families on the lawsuit. Several doctors are joining, claiming that the law interferes with their license and ability to practice medicine.
Texas Gov. Greg Abbott says the puberty blockers and sex change procedures amount to child abuse.
Texas, which is home to one of the largest trans communities in the U.S., has joined 18 other states enacting this ban.